Key Performance Indicators for successful organisations
While tracking metrics is an important activity for all sales organisations, it can be quite tricky for many small businesses. Defining and tracking relevant metrics for organisations is critical for their success. High-performing businesses constantly measure the health of their business by keeping track of important key performance indicators (KPIs). For example, understanding how the efforts of sales team directly relate to overall company performance can help businesses position themselves better for improved performance and productivity. Here are the four most important KPIs every growing business should pay attention to:
- Cost of customer acquisition (COCA)
The cost of customer acquisition is how much you spend on marketing to acquire a new customer. It is best to conduct a thorough analysis of each marketing channel to find out which ones have the lowest COCA and then focus efforts primarily on those particular channels. - Customer lifetime value (CLV)
This is the estimated amount that a single customer will spend at the business over their lifetime. Such a metric is ultimately going to determine how successful the business will be in the long run. One should always focus on improving customer service as creating great customer experiences will keep customers satisfied and coming back for more. - Revenue growth rate
The organisation’s revenue growth rate, which measures the rate at which revenue increases or decreases, is an effective way to monitor how well the business is growing. - Landing page conversion rates
Landing pages are primarily created to convert website visitors into leads. One should ensure that landing pages follow best practices to improve prospect conversions. Regular analysis of these conversions will also help to make the necessary changes to fully optimise this particular marketing channel.
Tracking the information mentioned above can provide helpful data to assist sales reps in closing more deals. Regular tracking of the right metrics for the business and implementing changes based on what the data reveals can also help with getting impressive results for the overall business success.
